Digital Ally (NASDAQ: DGLY) grants CEO 58,333 options at $2.04

Rhea-AI Filing Summary

Digital Ally, Inc. reported an insider equity award for its Chairman, CEO & President, Stanton E. Ross. On January 22, 2026, the board granted him options to acquire 58,333 shares of common stock under the company’s 2022 Stock Option and Restricted Stock Plan.

The options have an exercise price of $2.04 per share, equal to the Nasdaq Capital Market closing price on January 22, 2026, and 100% of the options will vest on January 22, 2027, contingent on him remaining an officer through that date. Following this grant, Ross beneficially owns 97,021 shares of common stock. The share figures reflect reverse stock splits that occurred in May 2025 and January 2026.

SEC Form 4

FORM 4

UNITED STATES SECURITIES AND EXCHANGE COMMISSION
Washington, D.C. 20549

STATEMENT OF CHANGES IN BENEFICIAL OWNERSHIP

Filed pursuant to Section 16(a) of the Securities Exchange Act of 1934
or Section 30(h) of the Investment Company Act of 1940

OMB APPROVAL

OMB Number:			3235-0287
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Check this box if no longer subject to Section 16. Form 4 or Form 5 obligations may continue. See Instruction 1(b).

Check this box to indicate that a transaction was made pursuant to a contract, instruction or written plan for the purchase or sale of equity securities of the issuer that is intended to satisfy the affirmative defense conditions of Rule 10b5-1(c). See Instruction 10.

1. Name and Address of Reporting Person^*

Ross Stanton E

(Last) (First) (Middle)

6366 COLLEGE BLVD.,

(Street)

OVERLAND PARK, KS 66211

(City) (State) (Zip)

2. Issuer Name and Ticker or Trading Symbol
DIGITAL ALLY, INC. [ KUST ]

5. Relationship of Reporting Person(s) to Issuer
(Check all applicable)

X	Director		10% Owner
X	Officer (give title below)		Other (specify below)
	Chairman, CEO & President

3. Date of Earliest Transaction (Month/Day/Year)
01/22/2026

4. If Amendment, Date of Original Filed (Month/Day/Year)

6. Individual or Joint/Group Filing (Check Applicable Line)

X	Form filed by One Reporting Person
	Form filed by More than One Reporting Person

Table I - Non-Derivative Securities Acquired, Disposed of, or Beneficially Owned
1. Title of Security (Instr. 3)	2. Transaction Date (Month/Day/Year)	2A. Deemed Execution Date, if any (Month/Day/Year)	3. Transaction Code (Instr. 8)		4. Securities Acquired (A) or Disposed Of (D) (Instr. 3, 4 and 5)			5. Amount of Securities Beneficially Owned Following Reported Transaction(s) (Instr. 3 and 4)	6. Ownership Form: Direct (D) or Indirect (I) (Instr. 4)	7. Nature of Indirect Beneficial Ownership (Instr. 4)
			Code	V	Amount	(A) or (D)	Price
Common Stock(1)	01/22/2026		A		58,333	A	$0(1)	97,021(2)	D

Table II - Derivative Securities Acquired, Disposed of, or Beneficially Owned (e.g., puts, calls, warrants, options, convertible securities)
1. Title of Derivative Security (Instr. 3)	2. Conversion or Exercise Price of Derivative Security	3. Transaction Date (Month/Day/Year)	3A. Deemed Execution Date, if any (Month/Day/Year)	4. Transaction Code (Instr. 8)		5. Number of Derivative Securities Acquired (A) or Disposed of (D) (Instr. 3, 4 and 5)		6. Date Exercisable and Expiration Date (Month/Day/Year)		7. Title and Amount of Securities Underlying Derivative Security (Instr. 3 and 4)		8. Price of Derivative Security (Instr. 5)	9. Number of derivative Securities Beneficially Owned Following Reported Transaction(s) (Instr. 4)	10. Ownership Form: Direct (D) or Indirect (I) (Instr. 4)	11. Nature of Indirect Beneficial Ownership (Instr. 4)
				Code	V	(A)	(D)	Date Exercisable	Expiration Date	Title	Amount or Number of Shares

Explanation of Responses:

1. On January 22, 2026, the Board of Directors awarded the Reporting Person the options to acquire 58,333 shares of common stock, effective as of January 22, 2026 under its 2022 Stock Option and Restricted Stock Plan. The exercise price on such options to acquire common stock granted will be $2.04 per share, the closing price of the Common Stock on the Nasdaq Capital Market on January 22, 2026, and 100% of the options awarded will vest on January 22, 2027 contingent upon the Reporting Person remaining an officer on such date.

2. Reflects reverse stock splits occurred in May 2025 and in January 2026.

	/s/ Stanton E. Ross	01/26/2026
	** Signature of Reporting Person	Date
Reminder: Report on a separate line for each class of securities beneficially owned directly or indirectly.
* If the form is filed by more than one reporting person, see Instruction 4 (b)(v).
** Intentional misstatements or omissions of facts constitute Federal Criminal Violations See 18 U.S.C. 1001 and 15 U.S.C. 78ff(a).
Note: File three copies of this Form, one of which must be manually signed. If space is insufficient, see Instruction 6 for procedure.
Persons who respond to the collection of information contained in this form are not required to respond unless the form displays a currently valid OMB Number.

FAQ

What insider transaction did Digital Ally (DGLY) report for Stanton E. Ross?

Digital Ally reported that its Chairman, CEO & President, Stanton E. Ross, received an equity award in the form of options to acquire 58,333 shares of the company’s common stock on January 22, 2026.

What are the key terms of Stanton Ross’s new stock options at Digital Ally (DGLY)?

The options allow Stanton Ross to buy 58,333 common shares at an exercise price of $2.04 per share, which was the closing price of Digital Ally’s common stock on the Nasdaq Capital Market on January 22, 2026.

When do Stanton Ross’s Digital Ally (DGLY) options vest?

100% of the options granted to Stanton Ross will vest on January 22, 2027, and vesting is contingent upon him remaining an officer of Digital Ally on that date.

How many Digital Ally (DGLY) shares does Stanton Ross own after this transaction?

After the reported grant, Stanton Ross beneficially owns 97,021 shares of Digital Ally common stock in total.

Under which plan were the new stock options for Digital Ally (DGLY) CEO granted?

The options for Stanton Ross were granted under Digital Ally’s 2022 Stock Option and Restricted Stock Plan.

How do recent reverse stock splits affect Stanton Ross’s reported Digital Ally (DGLY) holdings?

The filing notes that the reported share amounts reflect reverse stock splits that occurred in May 2025 and January 2026, which adjust the number of shares shown.